Buyers sought for cash-hit Castle

Deloitte said sales process is still in “early stages”

ADMINISTRATORS acting on behalf of Castle Inns have confirmed they have opened dialogue with prospective buyers for the Striling-based leisure group.
The business, which employs 400 full and part-time staff in a range of freehold and leased pubs and clubs across central Scotland, went into administration on July 8 after running into “significant cash flow difficulties”.
The venues, including City & Sportsters branded outlets in Edinburgh, Perth and Falkirk, remain under the control of the company while administrators at Deloitte try to sell the business.
Castle Inns was established by brothers Paul and Stephen Smith in 1983.
“All trading units continue to operate under the company’s control and we are in ongoing discussions with several parties regarding a going concern sale of the business, but no offers have yet been received,” said joint administrator John Reid at Deloitte.
“We continue to manage the activities of the company and are in the early stages of the sales process to seek a buyer for the company’s interests.
“We will assess the viability of all offers received with a view to maximising the value to be recovered from the company’s business and assets.”